(1) A conditional payment provision of a construction contract has no legal effect and accordingly—

• (a) is not enforceable in any civil proceedings; and

• (b) may not be used as a basis for withholding progress payments that are due and payable under the contract.

(2) In this section,—

The parties to a construction contract are free to agree between themselves on a mechanism for determining—

• (a) the number of progress payments under the contract:

• (b) the interval between those payments:

• (c) the amount of each of those payments:

• (d) the date when each of those payments becomes due.

If the parties to a construction contract fail to agree on a mechanism for determining any of the matters referred to in section 14, the relevant provisions of sections 16 to 18 apply to the extent that those provisions relate to any matter for which a mechanism has not been agreed on between the parties.

A party who has agreed to carry out construction work under a construction contract has the right to progress payments calculated in accordance with section 17.

(1) The amount of a progress payment must be calculated by reference to—

• (a) the relevant period for that payment; and

• (b) the value of the construction work carried out, or to be carried out, during that period; and

• (c) any relevant provisions in the construction contract (including, without limitation, provisions relating to the retention of money or liquidated damages).

(2) For the purposes of subsection (1)(a), the relevant period for a progress payment under a construction contract is—

• (a) the period commencing on the day of the month on which construction work was first carried out under the contract and ending on the last day of that month (the first period); and

• (b) each month after the first period.

(3) For the purposes of subsection (1)(b), the value of construction work must be calculated with regard to—

• (a) the contract price for the work; and

• (b) any other rates or prices set out in the contract; and

• (c) any variation to the construction work authorised under the contract; and

• (d) if any work is defective, the estimated cost of rectifying the defect.

(4) If the contract does not expressly provide for the matters referred to in subsection (3)(a) and (b), the value of construction work must be calculated with regard to—

• (a) the reasonable value of the work; and

• (b) the reasonable value of any variation to the construction work authorised under the contract; and

• (c) if any work is defective, the estimated cost of rectifying the defect.

A progress payment under a construction contract becomes due and payable on the date occurring 20 working days after a payment claim is served under section 20 in relation to the payment.

In this subpart, unless the context otherwise requires,—

(1) A payee may serve a payment claim on the payer for each progress payment,—

• (a) if the contract provides for the matter, at the end of the relevant period that is specified in, or is determined in accordance with the terms of, the contract; or

• (b) if the contract does not provide for the matter, at the end of the relevant period referred to in section 17(2).

(2) A payment claim must—

• (a) be in writing; and

• (b) contain sufficient details to identify the construction contract to which the progress payment relates; and

• (c) identify the construction work and the relevant period to which the progress payment relates; and

• (d) indicate a claimed amount and the due date for payment; and

• (e) indicate the manner in which the payee calculated the claimed amount; and

• (f) state that it is made under this Act.

(3) If a payment claim is served on a residential occupier, it must be accompanied by—

• (a) an outline of the process for responding to that claim; and

• (b) an explanation of the consequences of—

  • (i) not responding to a payment claim; and

  • (ii) not paying the claimed amount, or the scheduled amount, in full (whichever is applicable).

(4) The matters referred to in subsection (3)(a) and (b) must—

• (a) be in writing; and

• (b) be in the prescribed form (if any).

(1) A payer may respond to a payment claim by providing a payment schedule to the payee.

(2) A payment schedule must—

• (a) be in writing; and

• (b) identify the payment claim to which it relates; and

• (c) indicate a scheduled amount.

(3) If the scheduled amount is less than the claimed amount, the payment schedule must indicate—

• (a) the manner in which the payer calculated the scheduled amount; and

• (b) the payer's reason or reasons for the difference between the scheduled amount and the claimed amount; and

• (c) in a case where the difference is because the payer is withholding payment on any basis, the payer's reason or reasons for withholding payment.

A payer becomes liable to pay the claimed amount on the due date for the progress payment to which the payment claim relates if—

• (a) a payee serves a payment claim on a payer; and

• (b) the payer does not provide a payment schedule to the payee within—

  • (i) the time required by the relevant construction contract; or

  • (ii) if the contract does not provide for the matter, 20 working days after the payment claim is served.

(1) The consequences specified in subsection (2) apply if the payer—

• (a) becomes liable to pay the claimed amount to the payee under section 22 as a consequence of failing to provide a payment schedule to the payee within the time allowed by section 22(b); and

• (b) fails to pay the whole, or any part, of the claimed amount on or before the due date for the progress payment to which the payment claim relates.

(2) The consequences are that the payee—

• (a) may recover from the payer, as a debt due to the payee, in any court,—

  • (i) the unpaid portion of the claimed amount; and

  • (ii) the actual and reasonable costs of recovery awarded against the payer by that court; and

• (b) may serve notice on the payer of the payee's intention to suspend the carrying out of construction work under the construction contract.

(3) A notice referred to in subsection (2)(b) must state—

• (a) the ground or grounds on which the proposed suspension is based; and

• (b) that the notice is given under this Act.

(4) In any proceedings for the recovery of a debt under this section, the court must not enter judgment in favour of the payee unless it is satisfied that the circumstances referred to in subsection (1) exist.

(1) The consequences specified in subsection (2) apply if—

• (a) a payee serves a payment claim on a payer; and

• (b) the payer provides a payment schedule to the payee within the time allowed by section 22(b); and

• (c) the payment schedule indicates a scheduled amount that the payer proposes to pay to the payee; and

• (d) the payer fails to pay the whole, or any part, of the scheduled amount on or before the due date for the progress payment to which the payment claim relates.

(2) The consequences are that the payee—

• (a) may recover from the payer, as a debt due to the payee, in any court,—

  • (i) the unpaid portion of the scheduled amount; and

  • (ii) the actual and reasonable costs of recovery awarded against the payer by that court; and

• (b) may serve notice on the payer of the payee's intention to suspend the carrying out of construction work under the construction contract.

(3) A notice referred to in subsection (2)(b) must state—

• (a) the ground or grounds on which the proposed suspension is based; and

• (b) that the notice is given under this Act.

(4) In any proceedings for the recovery of a debt under this section, the court must not enter judgment in favour of the payee unless it is satisfied that the circumstances referred to in subsection (1) exist.

(1) Any party to a construction contract—

• (a) has the right to refer a dispute to adjudication; and

• (b) may exercise that right even though the dispute is the subject of proceedings between the same parties in a court or tribunal.

(2) An example of a dispute is a disagreement between the parties to a construction contract about whether or not an amount is payable under the contract (for example, a progress payment) or the reasons given for non-payment of that amount.

(3) A dispute may not be referred to adjudication without the consent of the parties to the dispute if—

• (a) the parties to the relevant construction contract have agreed to refer disputes between them to arbitration; and

• (b) the arbitration is—

  • (i) an international arbitration as defined in article 1(3) of Schedule 1 of the Arbitration Act 1996; or

  • (ii) covered by the provisions of the Protocol on Arbitration Clauses (1923); or

  • (iii) covered by the provisions of the Convention on the Settlement of Investment Disputes between States and Nationals of Other States and is an arbitration to which the Arbitration (International Investment Disputes) Act 1979 applies.

(4) Subsection (3) prevails over subsection (1).

(1) To avoid doubt, nothing in this Part prevents the parties to a construction contract from submitting a dispute to another dispute resolution procedure (for example, to a court or tribunal, or to mediation), whether or not the proceedings for the other dispute resolution procedure take place concurrently with an adjudication.

(2) If a party to a construction contract submits a dispute to another dispute resolution procedure while the dispute is the subject of an adjudication, the submission to that other dispute resolution procedure does not—

• (a) bring to an end the adjudication proceedings; or

• (b) otherwise affect the adjudication.

(3) However, an adjudicator must terminate the adjudication proceedings on a dispute if, before the adjudicator determines the dispute, that dispute is determined under another dispute resolution procedure.

(4) Nothing in any other enactment or rule of law or any contract affects the application of this Part.

(1) Except as provided in this section and section 61(2), nothing done under, or for the purposes of, this Part affects any civil proceedings arising under a construction contract.

(2) In any proceedings before a court or tribunal, or before a member under the Weathertight Homes Resolution Services Act 2006, in relation to any matter arising under a construction contract, the court or tribunal or member—

• (a) must allow for any amount paid to a party to the contract under, or for the purposes of, this Part in any order or award the court, tribunal, or member makes in those proceedings; and

• (b) may make any orders that the court, tribunal, or member considers appropriate, having regard to any steps taken by a party to the contract in good faith and in reliance on an adjudicator's determination under this Part (including an order requiring a party to the contract to pay for goods and services supplied by another party to that contract in good faith and in reliance on an adjudicator's determination).

(1) Adjudication is initiated by a claimant serving written notice of the claimant's intention to refer a dispute for adjudication (the notice of adjudication) on—

• (a) the other party or parties to the construction contract; and

• (b) the owner if—

  • (i) a determination of an owner's liability is sought under section 30(a); and

  • (ii) an approval for the issue of a charging order is sought under section 30(b).

(2) The notice of adjudication must state—

• (a) the date of the notice:

• (b) the nature and a brief description of the dispute and of the parties involved:

• (c) details of where and when the dispute arose:

• (d) the relief or remedy that is sought:

• (e) whether approval for the issue of a charging order under section 29 is being sought:

• (f) whether a determination of an owner's liability under section 30(a) and an approval for the issue of a charging order under section 30(b) are being sought:

• (g) details sufficient to identify the construction contract to which the dispute relates, including—

  • (i) the names and addresses of the parties to the contract; and

  • (ii) if available, the addresses that the parties have specified for the service of notices.

A claimant may, in the notice of adjudication, seek the adjudicator's approval for the issue of a charging order in respect of a construction site owned by a respondent.

A claimant may, in the notice of adjudication, seek—

• (a) a determination under section 50 that an owner who is not a respondent is jointly and severally liable with the respondent to make a payment to the claimant; and

• (b) approval for the issue of a charging order in respect of the construction site.

A claimant may not seek any of the matters referred to in section 29 or section 30 against an owner who is a residential occupier of the construction site.

(1) An owner who is not a respondent—

• (a) is a party to adjudication proceedings in which the claimant seeks—

  • (i) a determination of that owner's liability under section 30(a); and

  • (ii) approval for the issue of a charging order under section 30(b); and

• (b) has all the rights of a party, including (without limitation),—

  • (i) the right to be present at the adjudication proceedings; and

  • (ii) the right to present that owner's case and be heard at those proceedings.

(2) Unless the context otherwise requires, the following references must be treated as including references to the owner of a construction site (whether or not the owner is also the respondent):

• (a) a reference to a respondent in sections 37, 39, 43, 45, 46, and 57; and

• (b) a reference to a party, or the parties, to an, or the, adjudication in this Part or in section 73.

(1) The claimant must, within the time required under subsection (2),—

• (a) request the person (if any) chosen by agreement between the relevant parties to act as adjudicator; or

• (b) if the person referred to in paragraph (a) has already indicated that he or she is unwilling or unable to act, request any other person chosen by agreement between the relevant parties to act as adjudicator; or

• (c) if no person is agreed on, request a nominating body chosen by agreement between the relevant parties to select a person to act as adjudicator; or

• (d) if the persons referred to in paragraphs (a) and (b) are unwilling or unable to act, and paragraph (c) does not apply, request an authorised nominating authority chosen by the claimant to select a person to act as adjudicator.

(2) The time required is,—

• (a) for the purposes of subsection (1)(a) and (b), as soon as practicable after the notice of adjudication has been served; and

• (b) for the purposes of subsection (1)(c) and (d), 5 working days after the notice of adjudication has been served or any further period that the parties may agree.

(3) An agreement about the choice of an adjudicator or a nominating body or an authorised nominating authority is not binding on the parties to the adjudication if that agreement was made (whether under the relevant construction contract or otherwise) before the dispute between them arose.

(4) It is the duty of a nominating body or, as the case may be, an authorised nominating authority to select a person and to request that person to act as adjudicator as soon as practicable.

(5) A request made under this section must—

• (a) be in writing; and

• (b) be accompanied by a copy of the notice of adjudication; and

• (c) state that it is made under this Act.

(1) A person is eligible to be an adjudicator in relation to a construction contract if the person meets the requirements relating to qualifications, expertise, and experience as may be prescribed (if any).

(2) A person is not eligible to be an adjudicator in relation to a construction contract to which the person is a party.

(3) A person—

• (a) must disclose to the parties to the adjudication and, as the case may be, the nominating body or the authorised nominating authority, any conflict of interest (whether financial or otherwise); and

• (b) must not act as an adjudicator in that dispute unless all of the parties to the adjudication agree.

(1) A person requested to act as an adjudicator in accordance with section 33 must, within 2 working days of receiving the request, indicate whether he or she is willing and able to act in that capacity.

(2) If the person is willing and able to act as an adjudicator, he or she must serve a notice of acceptance on the parties to the adjudication and, as the case may be, the nominating body or the authorised nominating authority.

(3) However, if the person has a conflict of interest, he or she must not serve a notice of acceptance under subsection (2) until the parties have confirmed (whether orally or in writing) that they agree to the person acting as an adjudicator.

(4) The notice of acceptance must confirm that the person meets the eligibility criteria for adjudicators under section 34.

(5) A notice of acceptance that fails to confirm that the person meets the eligibility criteria for adjudicators under section 34 has no effect.

(6) A person is appointed as an adjudicator to determine the dispute on serving a notice of acceptance that confirms the person meets the eligibility criteria for adjudicators under section 34.

(1) After an adjudicator has been appointed, the claimant must, within 5 working days of receiving the adjudicator's notice of acceptance, refer the dispute in writing (the adjudication claim) to the adjudicator.

(2) The adjudication claim—

• (a) must specify the nature or the grounds of the dispute and, to the extent that it remains relevant, be accompanied by a copy of the notice of adjudication; and

• (b) may be accompanied by any other documents.

(3) The claimant must serve a copy of the adjudication claim and any accompanying documents on every other party to the adjudication either before or immediately after they are served on the adjudicator.

(1) A respondent may serve on the adjudicator a written response to the adjudication claim—

• (a) within 5 working days after receiving that claim; or

• (b) within any further time that the parties to the adjudication agree; or

• (c) within any further time that the adjudicator may allow if the adjudicator considers that, in the circumstances, the additional time is reasonably required to enable the respondent to complete the written response.

(2) The response may be accompanied by any other documents.

(3) The respondent must serve a copy of the response and any accompanying documents on the claimant and every other party to the adjudication either before or immediately after they are served on the adjudicator.

(1) An adjudicator's jurisdiction in relation to any dispute that has been referred to adjudication is limited to determining—

• (a) the matters referred to in sections 48, 49(1)(c), and 50(1)(c); and

• (b) any other matters that are of a consequential or ancillary nature necessary to exercise or complete the exercise of the jurisdiction conferred by paragraph (a).

(2) However, the parties to an adjudication may, at any time, by written agreement, extend the jurisdiction of an adjudicator to determine any matters in addition to those mentioned in subsection (1).

An adjudication claim may be withdrawn if—

• (a) the claimant serves written notice of withdrawal on the adjudicator, unless the respondent objects to the withdrawal and the adjudicator recognises a legitimate interest on the respondent's part in obtaining a determination in respect of the dispute; or

• (b) the parties agree on the withdrawal.

If 2 or more adjudication proceedings are pending, the adjudicator may, with the written consent of all of the parties to those adjudication proceedings, determine those adjudication proceedings at the same time.

An adjudicator must—

• (a) act independently, impartially, and in a timely manner; and

• (b) avoid incurring unnecessary expense; and

• (c) comply with the principles of natural justice; and

• (d) disclose any conflict of interest to the parties to an adjudication; and

• (e) if paragraph (d) applies, resign from office unless those parties agree otherwise.

(1) An adjudicator may—

• (a) conduct the adjudication in any manner that he or she thinks fit; and

• (b) request further written submissions from the parties to the adjudication, but must give the relevant parties an opportunity to comment on those submissions; and

• (c) request the parties to the adjudication to provide copies of any documents that he or she may reasonably require; and

• (d) set deadlines for further submissions and comments by the parties; and

• (e) appoint an expert adviser to report on specific issues (as long as the parties are notified before the appointment is made); and

• (f) call a conference of the parties; and

• (g) carry out an inspection of any construction work or any other thing to which the dispute relates (as long as the consent of the owner or occupier is obtained before entry to any land or premises is made and, if the owner or occupier is a party to the adjudication, that party's consent must not be unreasonably withheld); and

• (h) request the parties to do any other thing during the course of an adjudication that he or she considers may reasonably be required to enable the effective and complete determination of the questions that have arisen in the adjudication; and

• (i) issue any other reasonable directions that relate to the conduct of the adjudication.

(2) The parties to the adjudication must comply with any request or direction of the adjudicator made or given in accordance with this section.

The adjudicator's power to determine a dispute is not affected by the failure of—

• (a) the respondent to serve a response on the claimant under section 37; or

• (b) any of the parties to—

  • (i) make a submission or comment within the time allowed; or

  • (ii) provide specified information within the time allowed; or

  • (iii) comply with the adjudicator's call for a conference of the parties; or

  • (iv) do any other thing that the adjudicator requests or directs.

If any failure of the kind referred to in section 43 occurs in an adjudication, the adjudicator may—

• (a) draw any inferences from that failure that he or she thinks fit; and

• (b) determine the dispute on the basis of the information available to him or her; and

• (c) give any weight that he or she thinks fit to any information provided outside any period that he or she requested or directed.

In determining a dispute, an adjudicator must consider only the following matters:

• (a) the provisions of this Act:

• (b) the provisions of the construction contract to which the dispute relates:

• (c) the adjudication claim referred to in section 36, together with all submissions (including relevant documentation) that have been made by the claimant:

• (d) the respondent's response (if any) referred to in section 37, together with all submissions (including relevant documentation) that have been made by the respondent:

• (e) the report of the experts appointed to advise on specific issues (if any):

• (f) the results of any inspection carried out by the adjudicator:

• (g) any other matters that the adjudicator reasonably considers to be relevant.

(1) An adjudicator—

• (a) must not determine a dispute until after the end of the period referred to in section 37(1) within which the respondent may serve on the adjudicator a written response to an adjudication claim; and

• (b) must not determine a dispute having regard to that response unless it was served on the adjudicator before the end of that period.

(2) An adjudicator must determine a dispute—

• (a) within 20 working days after the end of the period referred to in section 37(1) during which the respondent may serve on the adjudicator a written response to an adjudication claim; or

• (b) within 30 working days after the end of the period referred to in that section if the adjudicator considers that, even though the parties to the adjudication do not agree, further time for the determination of the dispute is reasonably required; or

• (c) within any further time that the parties to the adjudication agree.

(3) An adjudicator must give a copy of the determination to every party to the adjudication as soon as practicable after making a determination.

(4) Subsection (3) is subject to section 57(6).

(1) An adjudicator's determination—

• (a) must be in the prescribed form (if any); or

• (b) if there is no prescribed form,—

  • (i) must be in writing; and

  • (ii) must contain the reasons for the determination (unless the parties to the adjudication, by written agreement, indicate that the requirement for the adjudicator to give reasons may be dispensed with); and

  • (iii) in a case where the adjudicator determines that a party to the adjudication is liable to make a payment, must include a statement setting out the consequences for the defendant if the defendant takes no steps in relation to an application from the plaintiff to enforce the adjudicator's determination by entry as a judgment.

(2) A failure to comply with subsection (1) does not affect the validity of an adjudicator's determination.

(3) Within 2 working days after the date on which a copy of the determination is given to the parties to the adjudication under section 46(3), an adjudicator may, on his or her own initiative, correct in the determination any errors in computation or any clerical or typographical errors or any errors of a similar nature.

(1) If an amount of money under the relevant construction contract is claimed in an adjudication, the adjudicator must determine—

• (a) whether or not any of the parties to the adjudication are liable, or will be liable if certain conditions are met, to make a payment under that contract; and

• (b) any questions in dispute about the rights and obligations of the parties under that contract.

(2) If no amount of money under the relevant construction contract is claimed in an adjudication, the adjudicator must determine any questions in dispute about the rights and obligations of the parties under that contract.

(3) If an adjudicator determines under subsection (1)(a) that a party to the adjudication is liable, or will be liable if certain conditions are met, to make a payment, the adjudicator—

• (a) must also determine—

  • (i) the amount payable or conditionally payable; and

  • (ii) the date on which that amount became or becomes payable; and

• (b) may determine that the liability of a party to the adjudication to make a payment depends on certain conditions being met.

(4) Despite subsections (1) and (2), an adjudicator is not required to determine a dispute that has been withdrawn in accordance with section 39.

(5) If a dispute is settled by agreement between the parties before the adjudicator's determination is given, the adjudicator—

• (a) must terminate the adjudication proceedings; and

• (b) if requested by the parties, may record the settlement in the form of a determination on agreed terms.

(1) This section applies if—

• (a) a claimant has referred to adjudication a dispute about whether an amount is payable by a respondent under the construction contract; and

• (b) the claimant has sought, in the notice of adjudication, the adjudicator's approval for the issue of a charging order in respect of a construction site owned by the respondent; and

• (c) the adjudicator has determined that the respondent—

  • (i) is liable to pay (whether in whole or in part) the amount claimed in the adjudication; and

  • (ii) is the owner of the construction site.

(2) If this section applies, the adjudicator must—

• (a) approve the issue of a charging order in respect of the construction site owned by the respondent; and

• (b) record that approval in his or her determination accordingly; and

• (c) include in his or her determination sufficient particulars to identify the construction site to which the approval for the issue of a charging order relates.

(1) This section applies if—

• (a) a claimant has referred to adjudication a dispute about whether an amount is payable by a respondent under a construction contract; and

• (b) the claimant has sought, in the notice of adjudication,—

  • (i) a determination of the owner's liability under section 30(a); and

  • (ii) approval for the issue of a charging order in respect of the construction site under section 30(b); and

• (c) the adjudicator has determined that the respondent—

  • (i) is liable to pay (whether in whole or in part) the amount claimed in the adjudication; and

  • (ii) is an associate of the owner.

(2) If this section applies, the adjudicator must—

• (a) determine that the owner is jointly and severally liable, with the respondent, to pay (whether in whole or in part) the amount claimed in the adjudication; and

• (b) record in his or her determination that the owner is so liable and the amount of the owner's liability; and

• (c) approve the issue of a charging order in respect of the construction site, and record that approval in his or her determination accordingly; and

• (d) include in his or her determination sufficient particulars to identify the construction site to which the approval for the issue of a charging order relates.

(3) The liability of an owner under subsection (2)(a) must not exceed the reasonable value of all of the construction work carried out on the construction site by, or on behalf of, the respondent (including construction work carried out by another party for, or on behalf of, the respondent), less all amounts actually paid by the owner in respect of that work.

(4) To avoid doubt, the owner's liability—

• (a) is satisfied to the extent that the respondent has paid the amount determined by the adjudicator under subsection (1)(c); or

• (b) is discharged if the respondent's liability is set aside or otherwise discharged.

(1) An owner who is not a respondent may discharge that owner's liability under section 50(2)(a) by paying the amount determined by the adjudicator to the claimant.

(2) Any payment made by an owner under subsection (1)—

• (a) may be treated by the owner as a payment to the respondent in reduction of any amount that the owner owes, or may in future owe, to the respondent in connection with the construction work; or

• (b) may be recovered by the owner as a debt due from the respondent.

(3) If the owner has paid an amount determined by the adjudicator, the subsequent setting aside of the adjudicator's determination does not affect any rights conferred on the owner under this section.

(1) An owner who is not a respondent may apply to a District Court for a review of—

• (a) an adjudicator's determination that the owner is jointly and severally liable with the respondent to make a payment to the claimant; and

• (b) an adjudicator's approval for the issue of a charging order in respect of the construction site.

(2) A District Court has the jurisdiction to hear and determine an application for review under this section despite any limits imposed on District Courts in their ordinary civil jurisdiction by sections 29 to 34 of the District Courts Act 1947.

(1) An application for review under section 52 must be made by filing a notice, in the prescribed form (if any), in the District Court nearest to the place at which the adjudication proceedings to which the application for review relates were held.

(2) The notice must be filed—

• (a) within 20 working days after the date of the determination to which the application for review relates; or

• (b) within any further time that the District Court may allow on application made before or after the expiration of the period referred to in paragraph (a).

(1) For the purpose of hearing the application for review, the District Court—

• (a) must conduct the review as a hearing de novo of the relevant dispute; and

• (b) has all the powers, duties, functions, and discretions of the adjudicator in making the determination to which the application for review relates; and

• (c) has all the powers vested in a District Court in its civil jurisdiction.

(2) On hearing the application for review, the District Court may—

• (a) quash the determination, and substitute for it any other determination that the adjudicator could have made in respect of the original proceedings; or

• (b) refuse the application.

(3) A District Court's determination under subsection (2)(a)—

• (a) has effect as if it were a determination made by an adjudicator for the purposes of this Act; and

• (b) is not a final determination of the dispute between the claimant and respondent to the adjudication under review.

(4) Subsection (3)(b) does not prevent any proceedings between the claimant and respondent to the adjudication under review from being heard and determined at the same time as the application for review under this section.

An application for review under section 52 does not operate as a stay of the adjudicator's determination unless a District Court Judge, on application, so determines.

(1) An adjudicator may determine that costs and expenses must be met by any of the parties to the adjudication (whether those parties are or are not, on the whole, successful in the adjudication) if the adjudicator considers that the party has caused those costs and expenses to be incurred unnecessarily by—

• (a) bad faith on the part of that party; or

• (b) allegations or objections by that party that are without substantial merit.

(2) If the adjudicator does not make a determination under subsection (1), the parties to the adjudication must meet their own costs and expenses.

(3) An agreement about how the costs and expenses in adjudication proceedings are to be apportioned (including an agreement that a party is to indemnify another party in relation to those costs and expenses) is not binding on the parties to the adjudication if that agreement was made before the dispute arose.

(1) An adjudicator is entitled to be paid, by way of fees and expenses, an amount—

• (a) that is agreed between the adjudicator and the parties to the adjudication; or

• (b) if there is no agreement, that is reasonable, having regard to the work done and expenses incurred by the adjudicator.

(2) The parties to the adjudication are jointly and severally liable to pay the adjudicator's fees and expenses.

(3) The parties to the adjudication are each liable to contribute to the adjudicator's fees and expenses in—

• (a) equal proportions; or

• (b) the proportions that the adjudicator may determine.

(4) An adjudicator may make a determination under subsection (3)(b) if, in the adjudicator's view,—

• (a) the claimant's adjudication claim, or the respondent's response, was without substantial merit; or

• (b) a party to the adjudication acted in a contemptuous or improper manner during the adjudication.

(5) An adjudicator is not entitled to be paid any fees and expenses in connection with an adjudication if he or she fails to determine the dispute within the time allowed by section 46(2).

(6) Despite subsection (5), an adjudicator may require payment of his or her fees and expenses before communicating his or her determination on a dispute to the parties to the adjudication.

(7) If an adjudication claim is withdrawn or terminated, or the dispute between the parties is resolved, an adjudicator is entitled to be paid the fees and expenses incurred in the adjudication up to, and including, as the case may be, the date on which—

• (a) the adjudication claim was withdrawn or terminated; or

• (b) the adjudicator was notified that the dispute had been resolved.

(1) An adjudicator's determination under section 48(1)(a) is enforceable in accordance with section 59.

(2) An adjudicator's determination under section 48(1)(b) or (2) about the parties' rights and obligations under the construction contract is not enforceable.

(3) However, section 61 applies if the determination referred to in subsection (2) is not complied with.

(1) The consequences specified in subsection (2) apply if a party to the adjudication fails, before the close of the relevant date, to pay the whole or part of the amount determined by an adjudicator.

(2) The consequences are that the party who is owed the amount (party A) may do all or any of the following:

• (a) recover from the party who is liable to make the payment (party B), as a debt due to party A, in any court,—

  • (i) the unpaid portion of the amount; and

  • (ii) the actual and reasonable costs of recovery awarded against party B by that court:

• (b) if party A is a party who carries out construction work under a construction contract, serve notice on party B of party A's intention to suspend the carrying out of construction work under the contract:

• (c) apply for the adjudicator's determination to be enforced by entry as a judgment in accordance with subpart 2 of Part 4.

(3) A notice referred to in subsection (2)(b) must state—

• (a) the ground or grounds on which the proposed suspension is based; and

• (b) that the notice is given under this Act.

(4) In any proceedings for the recovery of a debt under this section, the court must not enter judgment in favour of a party unless it is satisfied that the circumstances referred to in subsection (1) exist.

(5) In this section, relevant date means—

• (a) the date that occurs 2 working days after the date on which a copy of the relevant determination is given to the parties to the adjudication under section 46(3); or

• (b) if the adjudicator determines a later date under section 48(3)(a)(ii), that later date.

An adjudicator's determination under section 48(1)(a) is binding on the parties to the adjudication and continues to be of full effect even though—

• (a) a party has applied for judicial review of the determination; or

• (b) any other proceeding relating to the dispute between the parties has been commenced.

(1) If a party to an adjudication fails to comply fully with the adjudicator's determination under section 48(1)(b) or (2) about the parties' rights and obligations under the relevant construction contract, any other party to the adjudication may bring proceedings in any court to enforce that other party's rights under that contract.

(2) In any proceedings under subsection (1), the court must have regard to, but is not bound by, the adjudicator's determination.

(1) A notice of adjudication to be served on a residential occupier in a dispute under a residential construction contract must, in addition to the matters in section 28(2), set out prominently—

• (a) a statement of the residential occupier's rights and obligations in the adjudication; and

• (b) a brief explanation of the adjudication process.

(2) The matters referred to in subsection (1) must be in the prescribed form (if any).

(3) A notice of adjudication that fails to comply with subsection (1) has no effect.

(4) If subsection (3) applies,—

• (a) the claimant may serve on a residential occupier a new notice of adjudication that complies with subsection (1); and

• (b) this Part applies as if no notice of adjudication had been served previously.

An adjudication in which the claimant seeks approval for the issue of a charging order in respect of a construction site must be conducted—

• (a) by an adjudicator nominated for the purpose by an authorised nominating authority; and

• (b) by an adjudicator who has the specific additional qualifications, expertise, and experience that may be prescribed for the purposes of this section (if any).

(1) No notice of adjudication is invalid for any failure to comply strictly with the requirements of section 28(2)(a) to (d) and (g) as long as—

• (a) the notice is in writing; and

• (b) the nature of the dispute and the names of the parties involved are stated clearly in the notice; and

• (c) any non-compliance does not mislead or unjustly affect the interests of the recipient.

(2) To avoid doubt, subsection (1) does not limit section 62.

(3) If a notice of adjudication fails to state, in accordance with section 28(2)(e) or (f), whether approval for the issue of a charging order is being sought, that approval may not be given.

(4) If a party to an adjudication wishes to provide another party or the adjudicator with copies of, or extracts from, the construction contract but is for any reason unable to do so (for example, in a case where the contract is oral), it is sufficient if that party gives the missing information in the form of a statutory declaration together with any supporting documents that are available.

(1) The Minister may, on application made by any person in accordance with subsection (2), authorise the applicant to nominate adjudicators for the purposes of this Act.

(2) Every application for an authority must—

• (a) be in writing; and

• (b) be accompanied by the prescribed information (if any).

(3) The Minister may withdraw any authority given under this section.

(1) A claimant may take the actions set out in subsection (2) if either—

• (a) the claimant has not received any notice of acceptance from an adjudicator within 5 working days of the person referred to in section 33 receiving a request to act as an adjudicator; or

• (b) an adjudicator who accepts an adjudication—

  • (i) dies or becomes seriously ill or is otherwise unavailable for any reason; or

  • (ii) fails to determine the dispute within the time allowed by section 46(2).

(2) The actions are—

• (a) the claimant may withdraw the notice of adjudication, by notice in writing served on every other party to the adjudication and, as the case may be, the nominating body or the authorised nominating authority; and

• (b) the claimant may serve a new notice of adjudication under section 28.

(3) If a new notice of adjudication is served in accordance with this section, this Part applies as if no notice of adjudication had been served previously.

(1) Any party to a dispute that has been referred to adjudication may be represented by the representatives (whether legally qualified or not) that the party considers appropriate.

(2) Subsection (1) is subject to the adjudicator's power to direct that the number of representatives present at a conference of the parties is to be limited to allow for the efficient conduct of proceedings.

(1) This section applies to the following information:

• (a) any statement, admission, or document created or made for the purposes of an adjudication; and

• (b) any information (whether written or oral) that, for the purposes of the adjudication, is disclosed in the course of the adjudication.

(2) The adjudicator and any party to a dispute must not disclose to another person any of the information to which this section applies except—

• (a) with the consent of the relevant party; or

• (b) to the extent that the information is already in the public domain; or

• (c) to the extent that disclosure is necessary for the purposes of, or in connection with, the adjudication or the enforcement of the adjudicator's determination; or

• (d) in statistical or summary form arranged in a manner that prevents any information disclosed from being identified by any person as relating to any particular person; or

• (e) if the information is to be used for statistical or research purposes and will not be published in a form that could reasonably be expected to identify any particular person.

An adjudicator may not be required to give evidence in any civil proceedings on anything connected with an adjudication that has come to his or her knowledge in the course of adjudication proceedings.

(1) Neither an adjudicator nor an expert adviser appointed under section 42(1)(e) is under any civil or criminal liability for anything done, or omitted to be done, in the course of the exercise or intended exercise of,—

• (a) in the case of an adjudicator, any of the adjudicator's functions, duties, or powers under this Act; or

• (b) in the case of an expert adviser, any of the expert adviser's functions under this Act.

(2) Subsection (1) does not exclude the liability of an adjudicator or expert adviser for anything done or omitted to be done in bad faith.

(1) The Limitation Act 2010 applies to adjudications as it applies to claims (as defined in section 4 of that Act).

(2) Adjudications must be treated as—

• (a) proceedings for the purposes of section 76 of the Insolvency Act 2006; and

• (b) actions or proceedings for the purposes of section 42 of the Corporations (Investigation and Management) Act 1989; and

• (c) legal proceedings for the purposes of section 248 of the Companies Act 1993.

(1) A party who carries out construction work under a construction contract (party A) has the right to suspend work under that contract if—

• (a) any of the following circumstances applies:

  • (i) a claimed amount is not paid in full by the due date for its payment and no payment schedule has been provided by the party who it is claimed is liable for the payment (party B):

  • (ii) a scheduled amount is not paid in full by the due date for its payment even though a payment schedule given by party B indicates a scheduled amount that party B proposes to pay to party A:

  • (iii) party B has not complied with an adjudicator's determination that party B must pay an amount to party A by a particular date; and

• (b) party A has served on party B a notice under section 23(2)(b) or section 24(2)(b) or section 59(2)(b), as the case may be; and

• (c) the amount mentioned in subsection (1)(a)(i) or subsection (1)(a)(ii) is not paid, or the determination mentioned in subsection (1)(a)(iii) is not complied with, within 5 working days after the date of that notice.

(2) If party A exercises the right conferred by subsection (1), party A—

• (a) is not in breach of the construction contract; and

• (b) is not liable for any loss or damage suffered by party B, or by any person claiming through party B; and

• (c) is entitled to an extension of time to complete the contract, but is not entitled solely by reason of this Act to recover any costs incurred as a consequence of the extension of time; and

• (d) keeps party A's rights under the contract, including any right to terminate the contract; and

• (e) may at any time lift the suspension, even if the amount has not been paid or the determination has not been complied with.

(3) To avoid doubt, subsection (2)(c) does not affect party A's rights to recover (whether in an adjudication or otherwise) any costs incurred as a consequence of the extension of time that exist other than solely by reason of this Act, nor does it add anything to those rights.

(4) If party A exercises the right conferred by subsection (1), the exercise of that right does not—

• (a) affect any rights that would otherwise have been available to party A under the Contractual Remedies Act 1979; or

• (b) enable party B to exercise any rights that may otherwise have been available to party B under that Act as a direct consequence of party A exercising the right conferred by subsection (1).

(5) The right to suspend work under a construction contract ceases when party B pays the amount in full or complies with the determination.

(1) This section applies if an adjudicator determines that a party to the adjudication is liable, or will be liable if certain conditions are met, to pay another party either or both of the following:

• (a) an amount of money under the construction contract:

• (b) any costs and expenses incurred in the adjudication (including any amount of contribution to the adjudicator's fees and expenses that the adjudicator has determined is payable by one party but that has been paid by another party).

(2) If this section applies, a plaintiff may apply for the adjudicator's determination in respect of the matters referred to in subsection (1) to be enforced by entry as a judgment in accordance with this subpart.

(3) The application—

• (a) may be made to a District Court; and

• (b) must be made in the manner provided by the rules of that court (if any).

(4) Either before or immediately after making the application, the plaintiff must serve on the defendant—

• (a) a copy of the application; and

• (b) a statement setting out the consequences for the defendant if the defendant takes no steps in relation to the application.

(5) Despite subsection (2), a plaintiff (to whom an amount of money will be payable under an adjudicator's determination if certain conditions are met) may only apply for that determination to be enforced by entry as a judgment after those conditions have been met.

(1) If the defendant wishes to oppose the application under section 73, the defendant must, within 15 working days after the date on which the defendant is served a copy of the application, apply to the District Court for an order that entry of the adjudicator's determination as a judgment be refused.

(2) The application for an order referred to in subsection (1) may be made only on the following grounds:

• (a) that the amount payable under the adjudicator's determination has been paid to the plaintiff by the defendant:

• (b) that the contract to which the adjudicator's determination relates is not a construction contract to which this Act applies:

• (c) that a condition imposed by the adjudicator in his or her determination has not been met.

(3) If the District Court is satisfied that any of the grounds set out in subsection (2) applies, the District Court must—

• (a) refuse the application under section 73 to enforce the adjudicator's determination by entry as a judgment; and

• (b) make an order accordingly.

(4) If the District Court is not satisfied that 1 or more of the grounds set out in subsection (2) applies, the District Court must—

• (a) accept the application under section 73 to enforce the adjudicator's determination by entry as a judgment; and

• (b) enter the adjudicator's determination as a judgment accordingly.

If the defendant takes no steps within 15 working days after the date on which a copy of the application under section 73 to enforce the adjudicator's determination is served on the defendant, the District Court must, at the request of the plaintiff, enter the adjudicator's determination as a judgment as soon as practicable.

(1) This section applies if an adjudicator has recorded in his or her determination the adjudicator's approval for the issue of a charging order in respect of a construction site.

(2) If this section applies,—

• (a) the plaintiff may, in the application under section 73, also apply for the issue of a charging order in respect of the construction site; and

• (b) if the adjudicator's determination is entered as a judgment under section 74(4) or section 75, the Registrar of the District Court must immediately issue a charging order in respect of the construction site.

To avoid doubt, an adjudicator's determination entered as a judgment may be enforced by execution in accordance with the District Courts Rules 1992.

To avoid doubt, the provisions of the District Courts Rules 1992 relating to charging orders apply to charging orders issued in accordance with this Act.